The new Zinke team, including appointments to Bureau of Reclamation, will need to learn quickly about the complexities of Colorado River water law and the drought-induced woes facing Lake Mead
By a comfortable 68-31 margin, the U.S. Senate today confirmed President Trump’s nominee for Secretary of the Interior, Ryan Zinke.
The former Montana member of Congress will head a department that manages around 500 million acres of land and waterways in the United States.
Zinke’s department also includes the federal Bureau of Reclamation, the agency responsible for the system of dams and reservoirs on the Colorado River, the waterway that is integral to the livelihood of 40 million U.S. citizens living in the Southwest.
In a statement declaring his approval of the appointment, Arizona Sen. Jeff Flake said he looked forward to working with Zinke’s department, notably on behalf of Arizona’s Colorado River allotment.
Solar panels, such these at the Garfield County Airport near Rifle, Colo., need virtually no water, once they are manufactured. Photo/Allen Best
Wind farm Logan County
Click here to read the whole interview. Here’s an excerpt:
“We need to innovate and do research on all different forms of energy,” [Martin Keller] said. “It would be a mistake to write off any — as long as the energy is carbon neutral. That’s the biggest thing, [because] burning fossil fuels is changing the environment.”
Keller took the reins at NREL, part of the network of laboratories run by the U.S. Department of Energy, at the end of November 2015. He hails from a sister DOE facility in Tennessee, the Oak Ridge National Laboratory, where he served as the associate laboratory director for energy and environmental sciences.
He succeeds Dan Arvizu, who announced plans in March 2015 to retire from the lab after more than 10 years as its director.
From Western Resource Advocates (Jon Goldin-Dubois):
As we begin the New Year I am filled with hope for real and concrete progress to protect the incredible place we call home. The past year has provided a strong foundation that we can build upon to reduce climate pollution and to protect western rivers and landscapes. Here’s what I mean:
Coming out of the climate agreements negotiated by 195 countries in Paris that concluded in December, many of the world’s nations are expected to take their first steps to address climate change. For the U.S. and most developed nations, this means cutting carbon emissions. For developing nations, the accord calls for financial incentives that will help them leapfrog carbon intensive development. Importantly, the agreement endeavors to limit warming to 1.5 degrees Celsius (scientists argue we must keep warming to under 2 degrees Celsius to stop climate change’s most devastating impacts).
Certainly, some advocates have argued that the agreement didn’t do enough. To be truthful, I would have liked to see stronger commitments to cut carbon pollution more quickly as well. But I think the agreement provides reason for hope. I say this for several reasons, not least of which is the fact that earlier in 2015 the EPA issued the Clean Power Plan, mandating carbon pollution reductions from U.S. power plants of about 33%. Clearly that’s not enough to address the U.S. share, but it does send a very strong message to the rest of the world that the U.S. is prepared to take action. In issuing the new standards earlier this year on coal-fired power plants, the Obama administration and EPA have taken our nation’s first real steps to address the carbon pollution that we know is leading to climate change. The rules have some other compelling attributes, including cleaning up air quality in communities across the country, substantial reductions in asthma attacks and other negative health impacts of dirty air, and saving consumers money.
The Paris Agreement, coupled with the Clean Power Plan, sends a strong message to power providers but also offers some predictability (which utilities want) and sets the stage for a carbon restrained, if not a carbon free, future.
I’m also optimistic because we now know that clean energy sources such as wind and solar can compete with coal on a cost basis, and that they are getting cheaper every day. This is a big part of the reason that in 2014, far more clean, renewable energy than fossil fuel-based energy was added to the electric grid in the United States. We will soon see the 2015 numbers, but this trend is projected to continue. In 2015 major utilities in our western region stated clearly that clean, renewable wind energy is now predictably their lowest-cost source for energy generation. And several solar projects are beating coal and gas on a head-to-head basis, leading to new projects that will come on line in 2016.
My hope goes beyond recent action on climate change. The end of 2015 provided some expectation that we will begin to face up to some of the severe challenges to the health of our western rivers. In Colorado, Governor Hickenlooper signed the state’s first water plan. This year presents the first opportunity to take action that forwards the plan’s goals of conservation, reuse and water sharing. 2015 also saw Governor Sandoval in Nevada addressing the region’s water challenges as he convened a drought forum to develop solutions for Nevada. While it is still unclear what the ultimate impact of the current El Nino weather system (which can bring above average precipitation to the Colorado River Basin) will mean to the West and our water supply, it seems like it is finally sinking in that we shouldn’t rely on the weather when it comes to water. We need to take action throughout the Colorado River states to ensure that we have the water we need to serve 40 million people that rely on the River. But we also must ensure that our rivers not only sustain life in our cities, but also can continue to provide the thrilling opportunities to raft and fish, and the habitat to sustain abundant wildlife – just a few of the things that make the West so spectacular.
Don’t get me wrong. There are plenty of challenges.
The nations of the world need to respond to the Paris agreement in the spirit with which it was crafted. Individual countries (and our states here in the West) need to respond by developing aggressive plans to reduce carbon pollution.
Our western states similarly need to take smart steps to protect and restore our rivers, as we plan for population and economic growth. This includes conservation, reuse, recycling, sharing water between urban and agriculture users, and smart storage solutions.
There are several ill-advised – okay, let’s be honest – flat out stupid plans to develop oil shale and tar sands throughout wilderness-quality lands in northeastern Utah that are still on the table. These plans need to be stopped.
We’ll take on these and other issues, like protection of Great Salt Lake and other iconic landscapes in the West, while working to find smart solutions on the climate, clean energy and river- and water-related efforts described above by building on the many successes of 2015.
Six days in to 2016, and yes, I am truly excited and hopeful about the prospects for making even more progress to protect the many places that we care about here in the West.
The fossil-fuel industry—which, for two centuries, underwrote our civilization and then became its greatest threat—has started to take serious hits. At noon today [November 6, 2015], President Obama rejected the Keystone Pipeline, becoming the first world leader to turn down a major project on climate grounds. Eighteen hours earlier, New York’s Attorney General Eric Schneiderman announced that he’d issued subpoenas to Exxon, the richest and most profitable energy company in history, after substantial evidence emerged that it had deceived the world about climate change.
These moves don’t come out of the blue. They result from three things.
The first is a global movement that has multiplied many times in the past six years. Battling Keystone seemed utterly quixotic at first—when activists first launched a civil-disobedience campaign against the project, in the summer of 2011, more than ninety per cent of “energy insiders” in D.C. told a National Journal survey that they believed that President Obama would grant Transcanada a permit for the construction. But the conventional wisdom was upended by a relentless campaign carried on by hundreds of groups and millions of individual people (including http://350.org, the international climate-advocacy group I founded). It seemed that the President didn’t give a speech in those years without at least a small group waiting outside the hall to greet him with banners demanding that he reject the pipeline. And the Keystone rallying cry quickly spread to protests against other fossil-fuel projects. One industry executive summed it up nicely this spring, when he told a conference of his peers that they had to figure out how to stop the “Keystone-ization” of all their plans.
The second, related, cause is the relentless spread of a new logic about the planet—that we have five times as much carbon in our reserves as we can safely burn. While President Obama said today that Keystone was not “the express lane to climate disaster,” he also said that “we’re going to have to keep some fossil fuels in the ground rather than burn them.” This reflects an idea I wrote about in Rolling Stone three years ago; back then, it was new and a little bit fringe. But, this fall, the governor of the Bank of England, Mark Carney, speaking to members of the insurance industry at Lloyds of London, used precisely the same language to tell them that they faced a “huge risk” from “unburnable carbon” that would become “stranded assets.” No one’s argued with the math, and that math indicates that the business plans of the fossil-fuel giants are no longer sane. Word is spreading: portfolios and endowments worth a total of $2.6 trillion in assets have begun to divest from fossil fuels. The smart money is heading elsewhere.
Which brings us to the third cause. There is, now, an elsewhere to head. In the past six years, the price of a solar panel has fallen by eighty per cent. [ed. emphasis mine] For years, the fossil-fuel industry has labored to sell the idea that a transition to renewable energy would necessarily be painfully slow—that it would take decades before anything fundamental started to shift. Inevitability was their shield, but no longer. If we wanted to transform our energy supply, we clearly could, though it would require an enormous global effort.
Don’t you just love renewable energy capital markets moving the polluters out of the picture?
Here’s a report about the impending bankruptcy of Arch Coal from Elizabeth Shogren writing for The High Country News. Here’s an excerpt:
There’s no question that the president’s Clean Power Plan and his other air pollution regulations cloud the future of the industry. But coal’s bleak present has much more to do with other factors; chief among them the low price of natural gas and bad business decisions that the country’s biggest coal companies made in recent years. “These are undoubtedly difficult, if not unprecedented, times for the coal sector,” Glenn Kellow, chief executive officer of Peabody, the world’s largest coal company, reportedly said on the company’s recent earnings call.
Both Arch Coal and Peabody Energy paid billions of dollars to acquire metallurgical coal mines when prices of this type of coal, which is used to make steel and other metals, were soaring. The price has since collapsed, leaving the companies swamped in debt and their stock prices a small fraction of what they used to be. In Arch’s case, it spent $3.4 billion in 2011 to buy International Coal Group, Inc., acquiring 13 mines in the eastern United States. At the time, the only company more invested in metallurgical coal was Alpha National Resources, (remember that name), which was buying Massie Energy for $7.1 billion. That same year, Peabody shelled out $5.2 billion for metallurgical coal mines in Australia.
The companies borrowed to buy these metallurgical coal mines, with the expectation that Asia, especially China, would gobble up all the metallurgical coal they could produce. What they didn’t count on was the price of metallurgical coal spiraling downward due in part to increased supplies of metallurgical coal from other countries and slower growth in China. Now U.S. metallurgical coal sells for less than half what it did in 2011.
Arch’s debt comes due next year. Scrambling to avoid bankruptcy, Arch tried to get creditors to renegotiate its debt, but the effort collapsed at the end of last month. Peabody has until 2018, and yet its stock has fallen from more than $1,000 in 2011 to less than $13 this fall.
The West is largely a bystander to this high drama, except that the companies that produce the most coal in the West are caught in the middle of it. Profitable mines owned by these companies in Wyoming’s Powder River Basin likely still will operate under whatever slimmed-down companies emerge from bankruptcy or under new ownership. But underground mines, where it costs more to extract the coal, may be less lucky. Peabody’s Twentymile mine in northwestern Colorado reportedly already has experienced significant reductions in production.
Mines in the West are not immune from the other main factor vexing the coal industry: low natural gas prices. Coal’s share in electricity production dropped from 50 percent in 2005 to 39 percent in 2014, and natural gas overtook coal as the biggest electricity producer for two months this year. The Energy Information Agency expects an 8 percent decrease in total coal consumption in 2015 compared to 2014, mainly driven by electric companies shifting to low-cost natural gas. Retirement of coal-fired power plants due to the Obama administration’s Mercury and Air Toxics Standards contributed, but to a lesser degree, according to the Energy Information Agency. “The big story here is gas and how cheap it is,” says Robert Godby, associate economics professor at the University of Wyoming who focuses on coal.